Advanced Medical Institute Inc. Announces Results For Quarter and Nine Months Ended March 31, 2007.

SYDNEY, Australia -- Advanced Medical Institute Inc. (AVMD.OB or AMI), a leading provider of treatment for Erectile Dysfunction and Premature Ejaculation in Australia and New Zealand, has announced results for the fiscal quarter and nine months ended March 31, 2007. All figures are in U.S. Dollars.

For the nine months ended March 31, 2007, as compared to the same period in 2006:

* Total gross revenue increased 36.6% to $29,713,454 compared with gross revenue of $21,756,411 in the prior corresponding period. Revenue from its Premature Ejaculation treatment programs increased 38.8% and revenue from its Erectile Dysfunction treatment programs increased 24.8%.

* Unearned revenue increased by $976,300 to $4,863,352 during the nine month period.

* Net income before tax was $750,612 compared with net income before tax of $2,703,226 in the prior corresponding period.

* Net income after tax was ($84,940) compared with $1,868,290 in the prior corresponding period. Although there was an increase in profitability in the Australian operations with net income after tax of $2,614,142 for the nine months (compared to $1,902,599 in the prior corresponding period), the decrease was as a result of the expenses related to the operations and losses attributable to the businesses in China and Japan during the 2007 period, which losses were unable to be offset against profits derived from our Australian operations.

For the three months ended March 31, 2007, as compared to the same period in 2006:

* Total gross revenue increased 2.6% to $9,391,231 compared with gross revenue of $9,150,703 in the prior corresponding period. Revenue from its Premature Ejaculation treatment programs decreased 2.5% and revenue from its Erectile Dysfunction treatment programs decreased 0.3% with revenue increases being partially due to increased sales of the Company's prostate treatment programs. The quarterly revenue in the second quarter was $9,918,553. The reason for the slight drop in revenue between the second quarter and this quarter is because revenue tends to be lower in January due to the effect of the number of Australians on vacation between Christmas and mid January.

* Unearned revenue decreased by $36,622 to $4,863,352 during the three month period.

* Net income after tax was ($722,651) compared with $1,210,417 in the prior corresponding period. Although our Australian operations continued to be profitable, the decrease was as a result of the expenses related to the operations and losses attributable to the businesses in China and Japan during the quarter, which losses were unable to be offset against profits derived from our Australian operations.

"We are very pleased with the profitability of our core operations in Australia," said Dr. Jacov Vaisman, founder, president, CEO and chairman of the board of AVMD. "As previously announced, we have commenced operations in China and Japan and we are continuing to expend significant financial resources in each country in order to expand our business" continued Dr. Vaisman. "As expected, we have continued to incur initial expenses in both countries and we anticipate needing to make further expenditures to establish those businesses over the next 6 to 12 months," continued Dr. Vaisman.

We are also delighted to have signed a license granting the use of our intellectual property in the United Kingdom and look forward to providing further updates in the next few months," concluded Dr Vaisman.

For more detailed information please see the attached table of results or refer to the Company's Quarterly Report on Form 10-QSB filed with the United States Securities and Exchange Commission.

About AMI

Advanced Medical Institute Inc., (AVMD.OB), headquartered in Sydney, Australia, is a leading provider of treatment programs for erectile dysfunction and premature ejaculation in Australia and New Zealand. The Company operates more than 30 facilities in Australasia, China and Japan. AVMD has more than 325 employees, including 52 medical personnel and, since its inception, has provided treatment to more than 300,000 customers. Advanced Medical Institute and its predecessor companies began arranging treatment programs for Premature Ejaculation and Erectile Dysfunction patients in 1993. For more information, visit the company's website at: http://www.avmd.com.au.

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward- looking statements are based on current expectations or beliefs, including, but not limited to, statements concerning the company's operations and financial performance and condition. For this purpose, statements that are not statements of historical fact may be deemed to be forward-looking statements. The company cautions that these statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, among others, the impact of competitive products and pricing; changes in consumer preferences and tastes or perceptions of health-related issues; effectiveness of advertising or market-spending programs; changes in laws and regulations; fluctuations in costs of production, foreign exchange and interest rates; and other factors as those discussed in the Company's reports filed with the Securities and Exchange Commission from time to time.

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